02669cam a22003257 4500001000700000003000500007005001700012008004100029100002000070245015800090260006600248490004200314500001400356520105200370530006101422538007201483538003601555690005601591690014801647690010401795690006701899690011601966700002102082700002402103700002202127710004202149830007702191856003802268856003702306w18069NBER20161209111119.0161209s2012 mau||||fs|||| 000 0 eng d1 aBayer, Patrick.10aEstimating Racial Price Differentials in the Housing Marketh[electronic resource] /cPatrick Bayer, Marcus D. Casey, Fernando Ferreira, Robert McMillan. aCambridge, Mass.bNational Bureau of Economic Researchc2012.1 aNBER working paper seriesvno. w18069 aMay 2012.3 aThis paper uses unique panel data covering over two million repeat-sales housing transactions from four metropolitan areas to test for the presence of racial price differentials in the housing market. Drawing on the strengths of these data, our research design controls carefully for unobserved differences in the quality of neighborhoods and the homes purchased by buyers of each race. We find that black and Hispanic homebuyers pay premiums of about three percent on average across the four cities, differences that are not explained by variation in buyer income, wealth or access to credit. Further, the estimated premiums do not vary significantly with the racial composition of the neighborhood; nor, strikingly, do they vary with the race of the seller. This latter finding suggests that racial prejudice on the part of sellers is not the primary explanation for the robust premiums we uncover. The results have implications for the evolution of racial differences in wealth and home ownership and the persistence of residential segregation. aHardcopy version available to institutional subscribers. aSystem requirements: Adobe [Acrobat] Reader required for PDF files. aMode of access: World Wide Web. 7aH0 - General2Journal of Economic Literature class. 7aJ15 - Economics of Minorities, Races, Indigenous Peoples, and Immigrants • Non-labor Discrimination2Journal of Economic Literature class. 7aK4 - Legal Procedure, the Legal System, and Illegal Behavior2Journal of Economic Literature class. 7aR2 - Household Analysis2Journal of Economic Literature class. 7aR3 - Real Estate Markets, Spatial Production Analysis, and Firm Location2Journal of Economic Literature class.1 aCasey, Marcus D.1 aFerreira, Fernando.1 aMcMillan, Robert.2 aNational Bureau of Economic Research. 0aWorking Paper Series (National Bureau of Economic Research)vno. w18069.4 uhttp://www.nber.org/papers/w1806941uhttp://dx.doi.org/10.3386/w18069